Objection from the UK Competition Authority to Synopsys' Acquisition Proposal for Ansys

Investing.com -- Synopsys Inc.'s proposal to acquire software developer Ansys (NASDAQ:ANSS) Inc. for $35 billion has been examined by the UK's Competition and Markets Authority (CMA). The authority highlighted potential competition concerns regarding the supply of semiconductor chip design and light simulation products in the UK.

In a statement on Friday, the CMA indicated that if the two companies do not provide adequate proposals to address the identified competition concerns, the deal could face a more extensive antitrust investigation.

However, a Synopsys spokesperson noted that the company is already taking steps to resolve the issues raised by the CMA. The spokesperson expressed optimism regarding the progress of the deal, stating, "We continue to expect the transaction to be completed in the first half of 2025."

This acquisition, occurring entirely between American companies, is part of Synopsys's strategic plan to expand its software development capabilities. The successful completion of the deal is contingent upon meeting regulatory requirements, including addressing the concerns raised by the CMA.